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answer with explanation Q5. There are two regressions: n't = a+ brM.t + ut (1) It = c + dry,t + eVolt + Ut (2)

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Q5. There are two regressions: n't = a+ brM.t + ut (1) It = c + dry,t + eVolt + Ut (2) where It is stock returns, I'M,t is market returns, and Volt is market volatility. State the null hypothesis if regression (1) is nested in regression (2). [2]

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